Eir results show broadband customers up 69,000 on Q1 2015

Eir announced first quarter results to 30 September today. Reported revenue in the quarter of €327 million increased by 1% or €2 million compared to the corresponding prior year period. Operating costs for the quarter ewere €126 million, a reduction of 4%. EBITDA (earnings before interest, tax, depreciation and amoritisation) for the quarter was €122 million, an increase of 1% compared to the corresponding prior year period.

In the fixed line segment, revenue (before intra company eliminations) for the quarter was €249 million, up 2% year-on-year, while fixed line EBITDA increased 4% to €109 million.

The total group broadband customer base was 867,000 at 30 September 2016, growing by 13,000 in the quarter and 69,000 compared to the prior year period. Wholesale broadband connections grew by 19,000 during the quarter and 80,000 compared to the prior year comparative period, bringing the total wholesale broadband lines to 424,000 lines at the end of September 2016. The retail broadband base decreased by 5,000 in the quarter to a total of 443,000 customers.

Eir reported 463,000 customers were connected to its fibre-based broadband service at the end of the quarter, representing growth of 35,000 customers during the quarter and 138,000 since September 2015.

More than half (53%) of broadband customers are connected to fibre – 29% penetration of fibre premises passed.

Fixed line net access losses for the quarter and 12 months ended 30 September 2016 were 12,000 and 31,000 respectively.

In mobile, EBITDA for the quarter of €13 million. Mobile revenue (before intra company eliminations) was €88 million, a decrease of €3 million when compared to the same period of the prior year. This was ascribed to increased promotional activity and bundling.

The Group mobile customer base increased by 6,000 to 1,066,000 customers, driven by growth in the pre-pay segment.

Richard Moat, CEO, eir, said: “The group continues to deliver solid results. We have continued to grow revenue and EBITDA during the first quarter. Underlying revenue grew by 2% or €5 million and EBITDA increased by 1% year-on-year.

“We are delivering strong value propositions to our customers and we remain focussed on providing products and services that enhance everyday business and personal interactions. Our current bundles include a range of exclusive eir sport content for our broadband customers and we plan to increase this content in the future. Customer service improvements remain a key strategic priority for the business. We have implemented a number of new processes and initiatives that will deliver further improvements in this important area.

“We are firmly committed to our investment in fibre, particularly our rural 300,000 rollout programme which will be completed by the end of 2018. This means 1.9 million homes and businesses, or over 80% of all premises in Ireland, will have access to high-speed broadband in just over two years. To date, we have spent €415 million on our fibre network passing 68% of Irish premises, and a total of €1.3 billion on investment in the past three years. Our complementary mobile infrastructure, offering high-speed mobile data is available to 88% of the population. This is a positive set of results, and we remain on track to meet our full year guidance.”